Gujarat Pipavav Port shares gained 2% following an annual rise in container volumes for the June quarter.

The port recorded a container volume of 191,000 twenty-foot corresponding units in the quarter ended June 30, versus 187,000 last year. The dry bulk volume declined to 0.67 million MT from 0.93 million MT, while liquid volume augmented to 0.26 million MT from 0.20 million MT in this period.

At 9:18 am, the company’s shares were trading at Rs 121.6, up 2.1%, on the BSE.

ICICI Securities pointed out that Q1 of FY24 has commenced with headwinds for global container trade. Though ocean freight rates have modified 50-60% from their earlier highs, Indian exports have continued subdued, particularly merchandise and handicraft.

The sentiment is expected to recover as the year develops with a pick-up in Chinese manufacturing and lower US inventory levels.

Gujarat Pipavav port is founded in South-West Gujarat and has a multinational promoter, APM Terminals Maersk Group. It locates at a strategic international maritime place, which attaches India with the Far East on one side, and the Middle East, Africa, Europe, and the US on the other.

Adding three service lines in FY23 is seen as increasing the export-import volumes. At the same time, contracting the enthusiastic freight corridor in September may help corner a larger market share. Analysts liked that Gujarat Pipavav Port is debt free, with return on invested capital shooting past 40% in FY24.